HKIA takes action against ethical breach by agent

This is the 7th case the HKIA reprimanded an insurance practitioner.

Hong Kong’s Insurance Authority (HKIA) has taken disciplinary action against Chiu Kin Fung Jacky, an individual insurance agent and registered mandatory provident fund (MPF) subsidiary intermediary (SI). 

His license as an insurance agent has been suspended for ten months due to his involvement in forging a client's signature and instigating impersonation on multiple occasions.

These actions have raised concerns about his suitability to carry out regulated activities.

In 2016, Chiu, acting as an MPF SI, facilitated the transfer of a client's MPF accrued benefits. However, he forged the client's signature on five transfer application forms between 2017 and 2020, without her knowledge. 

Additionally, he enlisted the help of colleagues to impersonate the client on six occasions to obtain her account details from the trustees.

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The discovery of Chiu's actions occurred in 2020 when he used the wrong transfer application form, prompting his principal to notify the client. 

The HKIA, responsible for monitoring compliance of registered MPF intermediaries, investigated the matter and decided on disciplinary action in coordination with the Mandatory Provident Fund Schemes Authority.

Chiu's conduct demonstrated a lack of integrity, essential for carrying out regulated activities. 

By forging signatures and using illicit means to obtain client information, he violated ethical standards. A suspension of his license is deemed necessary to punish such behaviour, deter similar actions, and provide time for reflection and reform.

Whilst Chiu admitted his wrongdoings and cooperated with the disciplinary action, several factors were considered in determining the sanction under the Insurance Ordinance (Cap. 41). These included the frequency of forgery, the financial benefit received, expressions of remorse, his disciplinary record, and the need to send a deterrent message.